How Does My Classification Affect My Rate?

An industry classification is made up of a group of employers who operate in a similar industry with a similar level of risk. Each industry classification is assigned a risk category that describes their cost of injuries compared to the system average.

Workers compensation insurance is a blend of collective and individual liability. This means your premium is based on a combination of the risk of potential injury costs at your workplace and the risk at workplaces with similar business activities.

Each industry is assigned a risk category. There are 18 risk categories and they describe the industry’s cost of injuries compared to the system average. An industry with a risk category above 100% has more injuries than the average. An industry with a risk category below 100% has fewer injuries than the average.

Classifications and their risk categories are based on years of information that tells us how likely groups of similar employers are – in comparison to the average of all employers – to have claims and claims-related costs. Risk categories are expressed as a percentage of that likelihood in relation to the overall average.

The rate system allows for movement among risk categories for small employers based on how their industry classification is collectively trending. Employers received notifications regarding possible movement of their risk categories on their previous year's rate notifications.

Employers who received a change to their risk category may see an increase or decrease to their rate, depending on the trend of their industry classification's claims cost experience which was used to establish the appropriate risk category for the coming year.

Your industry classification and its risk category are shown on the annual rate notification you receive each year from the WCB. You can also use the links below to view industry classifications and find your industry’s risk category.

Sector 1 – Agriculture and Forestry

Sector 2 – Mines, Quarries and Oil Wells

Sector 3 – Manufacturing

Sector 4 – Construction

Sector 5 – Transportation, Communications and Storage

Sector 6 – Trade

Sector 7 – Service

Sector 8 – Public Administration

Sector 9 - Optional Coverage

Your industry-based safety program (IBSP) can help you improve performance and reduce costs by investing in injury prevention and Return to Work. Industries that improve their performance as a whole can move to a lower risk category, which lowers rates for everyone in the industry classification.